Enabling High Performance Wireless Connectivity - Investor Presentation January 2018 - 2018 with projection
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Enabling High Performance
Wireless Connectivity
Investor Presentation
January 2018
NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. © Copyright 2018 Airgain, Inc. All Rights Reserved.
NASDAQ:AIRG 1
Important Caution Regarding Forward Looking Statements
This presentation contains forward-looking statements. may fluctuate significantly, which makes our future and the failure to manage our relationships with these looking statements are qualified in their entirety by
All statements other than statements of historical facts operating results difficult to predict and could cause our parties successfully could adversely affect our ability this cautionary statement, which is made under the
contained in this presentation, including statements operating results to fall below expectations or our to market and sell our products; if we cannot protect safe harbor provisions of the Private Securities
regarding our future operating results, financial position guidance; our products are subject to intense our intellectual property rights, our competitive Litigation Reform Act of 1995.
and cash flows, our business strategy and plans and competition, including competition from the customers position could be harmed or we could incur significant
our objectives for future operations are forward-looking to whom we sell, and competitive pressures from expenses to enforce our rights; our international sales This presentation also contains estimates and other
statements. In some cases, you can identify forward- existing and new companies may harm our business, and operations subject us to additional risks that can statistical data made by independent parties and by
looking statements by terms such as “believe,” “may,” sales, growth rates and market share; our future success adversely affect our operating results and financial us relating to market size and growth and other data
“will,” “estimate,” “continue,” “anticipate,” “plan,” “target,” depends on our ability to develop and successfully condition; our ability to identify and consummate about our industry. This data involves a number of
“project,” “contemplate,” “predict,” “potential,” “would,” introduce new and enhanced products for the wireless strategic acquisitions, and risks associated with assumptions and limitations, and you are cautioned
“could,” “should,” “intend” and “expect” or the negative of market that meet the needs of our customers; our completed acquisitions adversely affecting our operating not to give undue weight to such estimates. In addition,
these terms or other similar expressions. These business is characterized by short product development results and financial condition; and other risks described projections, assumptions and estimates of our future
statements involve known and unknown risks, windows and short product lifecycles; we sell to in our filings with the Securities and Exchange performance and the future performance of the
uncertainties and other important factors that may customers who are extremely price conscious, and a few Commission (SEC), including under the heading “Risk markets in which we operate are necessarily
cause our actual results, performance or achievements customers represent a significant portion of our sales, Factors” in our Annual Report on Form 10-K and any subject to a high degree of uncertainty and risk.
to be materially different from any future results, and if we lose any of these customers, our sales could subsequent filings with the SEC. You are cautioned not to
performance or achievements expressed or implied decrease significantly; we rely on a few contract place undue reliance on these forward looking
by the forward-looking statements. These risks, manufacturers to produce and ship all of our products, a statements, which speak only as of the date here of, and
uncertainties and other factors include, without limitation: single or limited number of suppliers for some we undertake no obligation to revise or update this
the market for our antenna products is developing and components of our products and channel partners to sell presentation to reflect events or circumstances after the
may not develop as we expect; our operating results and support our products, date hereof. All forward-
NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 2
Who We Are
Airgain is a leading provider of advanced antenna technologies used to enable high performance wireless
networking, across an increasingly broad range of home, enterprise, fleet and industrial devices. We
combine the best engineering and the brightest minds to deliver high performance wireless solutions.
ENTERPRISE &
AUTOMOTIVE CONNECTED HOME IoT
INFRASTRUCTURE
• We work with our customers and provide them with • Our antennas are deployed in carrier, fleet, enterprise,
solutions to complex RF engineering challenges. residential, private, government, and public safety wireless
• Airgain helps improve the throughput and connectivity of networks and systems.
next gen devices using 10+ years of proprietary • We are a profitable company, with a diverse partner and
device/chipset performance data. revenue base.
NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 3
Global Megatrends – Connected Everything
By 2020 there will be close to 7 times the number
of connected devices as people on the planet*
*Source: PwC, Technological Breakthroughs: NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 4
https://www.pwc.co.uk/issues/megatrends/technological-breakthroughs.html
Addressable Market for Airgain (2017 to 2022 CAGR)
19% 21%
10% 12% IoT
Auto
Enterprise and
Connected Home
Infrastructure
*Sources: ABI and Machina Forecasts, 2016 NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 5
The Connected Home Is Going from Wired to Wireless.
This Is a Technology Driven Revolution.
Multiple devices drive the need for high throughput
and complete Wi-Fi coverage in the connected home.
Customers are demanding high throughput and complete
wireless coverage, while providing wired quality of service
Drivers of the Revolution
• Accelerating Broadband Speeds
• Multiple Devices Today in
• OTT the US alone:
94M homes with
Old Standard broadband
• 802.11n
connectivity that
• 1-2 Antennas
can be upgraded to
New Standard new 802.11ac
• 802.11ac gateways*
• 4-12 Antennas
*Leichtman Research Group 11/17 NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 6
GlobalDriving
Technology Tailwinds: engineering andTechnologies
Our New solutions and Markets
An Expansive Landscape of New Wireless Standards and Applications
Automotive
Simplifying the
Complex
Advanced RF
Technology
team, LTE, 5G,
Wi-Fi, GPS, Enterprise
We believe we are well positioned to
IoT GNSS, BT, and
ZigBee, LoRa. Infrastructure
take advantage of the anticipated LPWan
growth in new markets.
NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 7Connected Car Market Opportunity
AFTERMARKET
Fleet Connectivity 21% CAGR for ‘17 – ’22
Projected 55M cars in 2020*
• Mobile fleets require rugged external solutions for
data, telematics and asset tracking connectivity
• Rugged external multi-technology antennas provide
connectivity for public safety and private fleets
• Outdoor antennas, Dual-LTE, Dual-Wi-Fi, GPS
Our RF Technology
capabilities enables
a complete solution.
Mobility Management Fleet Management Safety
*Source: Machina Research IoT Forecast, 2016 NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 8Connected Car Market Opportunity
OEM
Connected Car 21% CAGR for ‘17 – ’22
Projected 100M cars in 2020*
• Connected Cars require internal and external antennas for a
complete solution
• Internal: In-car infotainment, gateways and driver interface
• External: Driver assistance and safety, vehicle to vehicle and infrastructure, vehicle
software updates and driver behavior
• Components for Tier 1 & 2 suppliers, embedded & external antennas
Well-being Safety Drive Assistance Infotainment
*Source: Machina Research IoT Forecast, 2016 NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 9Expanding Opportunity for IoT (Internet of Things) Connectivity
The proliferation of IoT devices continues to create profit and
growth potential, with a projected 1.5B devices in 2020*
Connected Smart Home & Smart City
• Embedded and external connectivity solutions for low power
wide area networking, such as NB-IoT and LoRa.
• Seemingly endless connectivity options from people and
animals, to in-home gateways to city man-hole covers.
1.5B end devices shipped in 2020*
*Sources: ABI and Machina, 2016 NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 10Enterprise and Infrastructure Market Opportunity
In 2020 there will be approximately 82 million Access Points deployed.
Enterprise + Carrier Access Points
• 22M Access Points Projected
M2M and IoT Infrastructure
• 60M Access Points Projected
• In-building, Out-building and On-building connectivity solutions for
commercial, retail and office
• Outdoor kiosk, signage and asset connectivity & tracking
LPWAN NB-
*Sources: ABI and Machina, 2016 NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 11Who We
Work With
NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 12Airgain's Critical Position in Value Chain
Airgain continues to be the essential value-added partner that our customers rely
on, and our strong reputation is highly valued within the customer ecosystem
Partner Engage Influence
Chipset Suppliers OEMs & ODMs Customers
NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 13Revenues
Annual and Projected Revenue ($M) Quarterly Revenue ($M)
20%
GROWTH
12-15%
GROWTH
$43.4 $12.6
$12.4
$27.8 $12.4
$9.3
$13.0
$6.7
$9.9
$6.1
$11.3
$8.5
$5.7
2015 2016 2017 2018 2015 2016 2017
Q1 Q2 Q3 Q4
NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 14Business Model Well Positioned for Growth
Diversified, broad base of blue chip customers driving
consistent revenue growth, with long product lifecycles
Highly scalable platform for Product suite well positioned
organic and inorganic growth within high growth segments
Our global engineering and Asset light operating model
sales is unique to Airgain and utilizing third-party, contract
paramount to our success manufacturing
NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 15Potential Growth Opportunities
NEW MARKET EXPANSION
Automotive, Enterprise, Infrastructure
GEOGRAPHIC EXPANSION
and IoT
FAVORABLE TECHNOLOGY CREATE ADDITIONAL PULL
TAILWINDS FROM CARRIERS
802.11ac, 802.11ax upgrade cycle and new Demonstrate continued ROI of solutions
communication technologies such as 5G and LPWAN to drive adoption
NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 16Investment Highlights
• Enabler in high performance antenna solutions for Key Stats*
heterogeneous next-gen wireless devices
and networks
• Growing addressable market, driven by proliferation of Wi-Fi
connected devices, data intensive applications, streaming video
and multiple connectivity standards for a
9.5M 7.5M 40%
Shares Institutional
“connected planet” Free float (est.) holdings
outstanding
• Compelling business model with history of predictable revenue
growth and profitability
• Strong outlook for potential growth and total market expansion
• Well protected technology position with 225 patents and $36.6M
applications worldwide (September 30, 2017) Cash, cash 2004 2016
equivalents and
Founded IPO
• Seasoned management team with 20+ years of average short-term
investments
industry experience
(mrq*)
*As of September 30, 2017 NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 17Contact Us
Chuck Myers
CEO & President
Alexis Waadt
Director of Investor Relations
investors@airgain.com
Airgain, Inc.
3611 Valley Centre Drive
Suite 150
San Diego, CA 92130
NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 18Appendix
NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 19Global Engineering and Solutions
Airgain’s worldwide service offerings are more relevant than ever
• The necessity for real world performance testing, validation • Global engineering sales and support for design, supply chain
services, and device characterization has become a and delivery
requirement, not just a benefit
London, UK
Scottsdale, AZ Sales & design office
Design, manufacturing & Suzhou, China
sales office Sales & design office
Seoul, South Korea
Sales office
Melbourne, FL
Design office
Taipei, Taiwan
San Diego, CA Sales office
Headquarters,
sales & design offices Shenzhen, China
Sales & design offices
NASDAQ:AIRG © Copyright 2018 Airgain, Inc. All Rights Reserved. 20You can also read
